Mayur is pioneering the development of a highly prospective industrial and mineral sands province in southern PNG. Tenement portfolio covers 12,000+ km2 along the southern coastline and delta regions of the Gulf of Papua. Potential for multiple products, short term routes to market and significant scalability to expand future low-cost operations.
Orokolo Bay Industrial Sands Project
JORC Resource – 86 Mt of industrial construction sand; 173Mt of magnetite @ 9.2% Fe (upgrades to 6.6Mt magnetite at 57% Fe) and 107,000t of Zircon. Prioritisation to be given to a smaller tonnage amount with materially higher and/or refined grade fractions within the JORC Resource.
Pre-feasibility study completed with the following outputs:
- Simple on shore surface mining (use of excavators; no requirement for blasting) targeting 5Mtpa run of mine to produce a range of products;
- Basic gravity and magnetic separation (no requirement for chemical processing);
- Proposed transhipping solution using a combination of tug and barge to load ocean going vessels (also reviewing the option of off shore pumping);
- Products include fine grain construction sands (~1Mtpa planned for transport to the Sydney market), titanomagnetite (~400,000 tpa for steelmaking markets in Asia and ~100,000 tpa for use as Dense Medium Separation for coal washing end users in Australia), and a zircon rich valuable heavy mineral concentrate (VHMC) with potential for other heavy minerals;
- Marketing via non-binding letters of intent signed with various end users for titanomagnetite and VHMC in Asia and for DMS in Australia;
- Site secured at Port Botany for the importation of construction sands into Sydney;
- Forecast Net Present Value (NPV) of USD106m (post tax, at 10% discount rate).
- Medium term growth pipeline – Mayur has completed various exploration, drilling and metallurgical testwork on a number of other projects across the remainder of the tenement holding; offering opportunity to expand and / or replicate the planned approach at Orokolo Bay on these other projects.